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Having a bad credit simply means having a bad credit history. This can result from late payments in the past or not having enough years on your credit history. All we know is that having a bad credit makes life a little difficult than it should. Nevertheless, when it comes to acquiring auto loans in North Dakota, it is possible even with bad credit. It is harder, but it is possible. For anyone living with a bad credit in North Dakota, there is still hope to get a car on loan. However, the car dealers usually raise the interest rates on people with bad credit because they consider them a greater risk compared to people with a good credit. You can follow the following steps to successfully acquire the auto loan.

Evaluate your needs. This involves asking yourself how badly you need the car. Is it a must to get the car or is it for luxury purposes? People with a bad credit are only advised to get an auto loan if it is an emergency. If you only need the car for luxury, then you need to think again before you get the loan. It is advisable to consider other options like public transport or continue using your old car for more than six months as you try to improve your credit score.

Check your credit score. Before you let any dealer tell you that you have a bad credit, study it yourself. Go through the report and check what may be affecting your score. You may find suspicious activities that you were not aware of. Carry the report with when going to meet a dealer. If you have a good reason for your bad credit then maybe the dealer may understand you and give you a good interest rate.

Set a budget and shop around. By setting a budget, you get to understand how much you are willing and able to spend on a car. Use an auto loan calculator to calculate how much it will cost you to get the car in North Dakota. Look for different dealerships. You may think you have a bad credit, but maybe some dealerships have a different definition of bad credit. Many dealerships in North Dakota are willing to get you a car even when you think you have a bad credit.

When you visit the dealership, try to maintain your price range. Dealers can talk you into buying things you didn’t plan for. Know your budget and stick to it. Negotiate for the prices if you have to. After doing your research, you should already know how much the car costs and how much you are willing and able to pay. If the dealer quotes a big price try to negotiate to get to your range. If it’s already on your range also negotiate to get a lower price. This is important and will save you a lot of money in the end.

Consider newer cars over old cars. Usually, people think older cars are cheaper, but that is not always true. Newer car come with a better interest rate than older cars. Newer cars tend to offer a better financing. However, sometimes you can find older cars at a reasonable price. What we are saying is that you should compare and contrast before deciding which one to get.

Don’t hesitate to get a cosigner. With a cosigner, the dealer may reduce your interest rates. However, be careful while using a cosigner because they will be responsible for making your payments if you fail to do so. Make sure you will be able to make payments before getting a cosigner.

Finally, when you make the deal and get the car read the contract thoroughly. Before you sign any contract read it through. Ask questions where you don’t understand. Doing this can save you in the future. Once you sign it, then you are legally obligated to it. Make sure you make your payments on time from that point on. You don’t want to damage your credit score further.

Car buying and dealership requirements for North Dakota

Dealers in North Dakota need to follow the guidelines below from the Department of Transportation

Certificate of Title

By the law when someone sells a car they are required to give the relevant documents to the buyer within 30 days.

License Renewals

All car dealerships are required by the North Dakota law to renew their licenses annually. However, a dealership that made less than four car sales in the past year cannot be licensed in North Dakota. Keep all necessary documents in case of an inspection or customer complaints.


False advertising is a criminal offense in North Dakota. Any form of false advertisements will be punished according to the North Dakota Attorney General’s Consumer Fraud Division.

Interfering with Odometers

Dealerships selling old cars should not tamper with the odometers. Violating this law can cause you to lose your license and be charged with a class C felony.

Deceptive contract add-ons

Putting hidden add-ons to consumer’s contracts is a felony in North Dakota.

Top cities in North Dakota

The city of Lisbon: Considered top due to its low tax rates, warm temperatures and a wonderful quality of life.

West Fargo: It is a good city with a reputation for low crime rates.

Jamestown: Considered among the best due to its good weather. The roads are amazing and offer fast commuting to work.

Fargo: Among the best cities due to its high-quality amenities.

Bismarck: This city has a good reputation for high-quality amenities, high employment rates, and low taxes.

Dickinson: This city has a high employment rate. The driving experience is great offering low commute.

These are just a few cities in North Dakota considered to be the best.

If you have a bad credit score then getting an auto loan can be difficult. It is still possible to get the loan from a bank or auto financing lenders. In North Dakota, there are many companies willing to give you the auto loan.